Dec 23, 2011

Is income that important in the long run?

  1. There is a long run causal effect of income on the degree of democracy. See the paper. See another paper here. The exception is the Muslim world
  2. There is a long run causal effect of income on corruption. See the paper.
  3. Higher income reduces religiosity. 
  4. The causality between institutions and development runs in both directions. See the paper
Thanks to Andrew Nelson for the pointer. 

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